Most people budget for the first month's rent. That's rarely what catches them out.
What catches them out is the sum of everything else that has to be paid before the keys are handed over.
Here's what the move-in cost is made of, and how large it can lawfully get.
In short:
- The move-in cost is typically much higher than one month's rent.
- It normally consists of the deposit, prepaid rent and the first month's rent.
- The deposit and the prepaid rent can each be up to three months' rent.
- So the total at move-in can reach up to seven months' rent.
- Part of it comes back. Part of it you live out. Part of it is simply spent.
- There are alternatives to putting up the whole deposit in cash.
What the move-in cost is made of
Deposit
Security for the landlord's valid claims at move-out. Up to three months' rent. If the landlord has no claims, the amount has to be paid back.
Prepaid rent
Rent you pay in advance. Up to three months' rent. You normally live it out at the end of the tenancy, so you don't pay rent for the last months.
First month's rent
Usually paid up front at move-in.
The things people forget
- The move itself, and any help with it
- Setting up electricity, water, heating and internet
- Advance payments for consumption
- Contents insurance, if you take it
- Redecorating or painting, if the contract requires it at move-in
How large can the amount get?
Counted in months of rent, the lawful maximum looks like this:
- Deposit: up to 3 months' rent
- Prepaid rent: up to 3 months' rent
- First month's rent: 1 month's rent
- Total: up to 7 months' rent
Few landlords require the full amount, and many require considerably less. But the range is worth knowing, because it explains why two homes with the same monthly rent can require wildly different amounts before you can move in.
How to work out your own move-in cost
Call your monthly rent L. Then the arithmetic is:
- Deposit = months in the contract × L (no more than 3 × L)
- Prepaid rent = months in the contract × L (no more than 3 × L)
- First month's rent = 1 × L
- Other moving costs = O
- Total needed = deposit + prepaid rent + 1 × L + O
If the landlord requires the lawful maximum, that's 7 × L + O. Use the numbers in your own contract rather than the maximum — the difference is often large.
What comes back, and what doesn't
This is where people miscalculate, because the three items behave completely differently.
- Deposit: your money. Paid back if the landlord has no valid claims at move-out.
- Prepaid rent: normally lived out at the end of the tenancy. You don't receive it, you avoid paying rent.
- Moving costs and setup fees: gone.
- The premium for a deposit guarantee, if you choose one: not savings, not paid back.
In other words, a large move-in cost is not the same as a large expense. But it is a large liquidity requirement, and that difference is what decides whether you can move at all.
Why the amount is the biggest obstacle for many people
A deposit of three months' rent isn't an expense, but it has to be ready at the same time as everything else. For many people that means having access to several months' income at once, usually while the old tenancy is still costing money.
It hits hardest for people moving for the first time, people moving after a divorce or a job change, and people who have just arrived in the country and don't have savings here yet.
What you can do about it
- Ask for the full move-in cost in writing, line by line, before you say yes.
- Ask whether the amount can be paid in instalments, and get the agreement into the tenancy agreement.
- Ask whether the landlord accepts a deposit guarantee instead of a cash deposit.
- Check with your municipality whether help with a deposit is available in your situation. The assessment is individual, so you have to ask them yourself.
- Compare homes on the move-in cost, not only on the monthly rent.
If you choose a guarantee, the trade-off is clear: you free up cash now and pay for it with an amount you won't see again. And you can't choose a Keyhole guarantee on your own — your landlord needs an agreement with Keyhole first. We go through the whole difference in our article on renting without a deposit.
Checklist before you say yes
- Do I have the total in writing, line by line?
- Are the deposit and the prepaid rent listed separately in the contract?
- Does each stay within three months' rent?
- Do I know what comes back and what I live out?
- Have I asked about instalments or a guarantee?
- Have I documented the condition of the home at move-in?
Frequently asked questions
What is a move-in cost?
The total amount you have to pay before you can move in. Normally the deposit, the prepaid rent and the first month's rent, plus your own moving costs.
How much can the landlord lawfully require in total?
Up to three months' rent as a deposit and up to three months' rent as prepaid rent, on top of the ongoing rent.
Do I get the prepaid rent paid out when I move?
Normally no. You live it out at the end of the tenancy, meaning you don't pay rent for the last months.
Can I pay the move-in cost in instalments?
It isn't a right, but it can be agreed. Get the agreement written into the tenancy agreement.
Can the municipality help with the deposit?
It may be possible in some situations. The assessment is individual, so contact your own municipality.
Are you a tenant?
Visit our Help Centre and see what the options are when the amount at move-in is the obstacle.
Are you a landlord?
Book a free, no-obligation conversation with Daniel about how to make moving in easier without giving up your security.
